/biz/ - Business & Finance

Two of the 5 BRICS members are the top issuers of the high yielding sovereign debt held by Blackrock's USD-denominated and USD-paying EMB ETF. Brazil and China are the least insolvent members of the BRICS "club" with Russia practically defaulting on its foreign-denominated debt in 2022 by refusing to pay in foreign currency. Though not present in the fund, India's and South Africa's default ratings remain below A-, which means they have to borrow USD at a higher yield just to get their hands on cash necessary to expand their economy (crushing their currencies even harder and increasing their demand for USD).